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When register drawers are short, may we demand repayment out of cashiers’ pockets?

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in Compensation and Benefits,Human Resources

Q. Management wants to institute a policy requiring cashiers whose registers are short at night’s end to replace the disputed amount out of their own pockets. Would that violate the law?

A. You should not require cashiers to personally reimburse you for cash shortages. Under the Fair Labor Standards Act, an employer cannot deduct money from an employee’s paycheck that would result in the employee being paid less than the minimum wage.

Requiring an employee to reimburse you for a cash shortage is treated the same way. Even if the shortage amount would not bring the employee below the minimum wage, a better approach for addressing the situation is to discipline cashiers whose registers are short.

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